£100m green deal prompts jobs hope - graduate jobs

Employment opportunities, including the creation of many graduate jobs, could arise from the deal between Holyrood and Westminster to provide an extra £100 million funding for green energy projects in Scotland.

Chancellor George Osborne announced that Alex Salmond's government could spend half of the £200 million fossil fuel levy fund to promote the use of renewable energy.

The announcement comes following repeated calls by SNP members to be allowed access to the funding. The remaining £100 million will be used to support the capitalisation of the £3 billion Green Investment Bank.

Holyrood Finance Secretary John Swinney said the "announcement, though long overdue, is welcome nonetheless".

It was also agreed that any future fossil fuel levy fund money will be split equally between the two governments.

Details of the agreement were announced during a visit to Nigg Yard on the Cromarty Firth in the Highlands by Mr Osborne and Chief Secretary to the Treasury Danny Alexander.

New owners Global Energy Group plan to transform the site into a green-energy machinery manufacturing plant, creating up to 2,000 jobs by 2015 in the process.

Copyright Press Association 2011